Kategori: Arise

Stable positive earnings and Arise makes its first sale in energy storage

CEO Comment:

In September, Arise made its first transaction in energy storage (BESS) with the sale of the 40 MW Pajkölen project. The transaction means that we are now delivering on our diversification strategy with new technologies and demonstrating our ability to create value by taking advantage of the company’s platform, the synergies between different projects and market knowledge. The project quickly reached the ready-to-build phase and, in addition to the direct sales proceeds, the transaction entails a material, positive contribution for the Kölvallen project, with lower capex as a result of Pajkölen’s investment contribution to the grid connection. All other things being equal, this entails a higher earnout for the Kölvallen project. The Pajkölen transaction clearly demonstrates the realisable value of our project portfolio in which we now have about 650 MW of battery energy storage system (BESS) in various geographies.

Third quarter (1 July–30 September 2024)

• Net sales for the quarter amounted to MSEK 105 (96).
• Operating profit before depreciation and amortisation (EBITDA) was MSEK 55 (59).
• Operating profit (EBIT) was MSEK 33 (43).
• Profit after tax totalled MSEK 63 (35) and earnings per share amounted to SEK 1.55 (0.84).
• Operating cash flow was MSEK 43 (-47) and cash flow after investments amounted to MSEK -8 (-231).
• Production generated 66 GWh (60) with an average income of SEK 469 per MWh (718).
• The project portfolio increased by more than 200 MW during the quarter.

 

 

First nine months (1 January–30 September 2024)

• Net sales for the period amounted to MSEK 317 (313).
• Operating profit before depreciation and amortisation (EBITDA) totalled MSEK 178 (204).
• Operating profit (EBIT) totalled MSEK 120 (157).
• Profit after tax totalled MSEK 139 (123) and earnings per share was SEK 3.42 (2.86).
• Operating cash flow was MSEK 185 (43) and cash flow after investments amounted to MSEK 11 (-439).
• Production generated 225 GWh (201) with an average income of SEK 605 per MWh (874).
• The project portfolio increased by over 1,200 MW during the period.

Significant events during the first nine months

• In May, Arise announced that the Board had resolved to utilise the authorisation granted by the 2024 Annual General Meeting to buy back the company’s own shares up to MSEK 50 ahead of the 2025 Annual General Meeting. Under this share buyback programme and the previous buyback programme, 2,455,820 own shares were repurchased for MSEK 110 during the first nine months of the year.
• In May, Eva Vitell announced that she was leaving the Board of Arise at her own request, since she has accepted a position with Svenska Kraftnät.
• In May, the Lebo wind farm was completed. The wind farm is fully owned by Arise, has a capacity of 33 MW and is located in price area 3. Following the completion, Lebo is part of the Production segment.
• Arise announced in June that the earnout payment for the Ranasjö- and Salsjöhöjden project had been established at MEUR 6.6, which was received in the same month. Of the earnout amount, MEUR 4.2 had already been recognised whereby the earnings effect for the quarter amounted to MEUR 2.4.
• In June, Arise’s subsidiary Pohjan Voima entered into a cooperation agreement with Finsilva, one of Finland’s largest landowners. The cooperation opens up opportunities for the development of new wind and solar projects, which may also include battery storage. Five project areas have been identified with estimated potential of approximately 500 MW.
• In September, Arise entered into an agreement with Flower Infrastructure Technologies AB to sell the 40 MW battery project Pajkölen. The purchase price will amount to a maximum of approximately MSEK 30. Approximately MSEK 15 will be received at closing and the remaining part at completion of the grid connection. Closing took place after the end of the reporting period. Arise will not be responsible for construction management or asset management of Pajkölen after commissioning. In addition, the transaction also includes a potential earnout payment of approximately MSEK 15, which will be realised at certain prices for ancillary services during the first three years after commissioning.

Halmstad, 7 November 2024

Arise AB (publ)

For further information, please contact:

Per-Erik Eriksson, CEO Arise AB, +46 702 409 902

Markus Larsson, CFO Arise AB, + 46 735 321 776

This information is such information as Arise AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 08:00 CET on 7 November 2024.

About Arise
Arise is a leading independent company that realises new green energy. The company develops, builds, sells and manages renewable electricity production. The company is listed on Nasdaq Stockholm.

Arise AB (publ), Linjegatan 7, 302 50 Halmstad, tel. +46 10 450 71 00, org.nr. 556274-6726, E-mail: info@arise.se, www.arise.se

Arise AB (publ) (”Arise”) has entered into an agreement with Flower Infrastructure Technologies AB (”Flower”) to sell the battery project Pajkölen with a capacity of 40 MW.

The transaction covers all the shares in Pajkölen BESS AB, which owns the project rights. The purchase price will amount to a maximum of approximately SEK 30 million. Approximately SEK 15 million will be received at closing and the remaining part at completion of the grid connection. Closing is conditional upon certain approvals from authorities and is expected to occur during the fourth quarter of 2024. The grid connection is expected to be completed during the first half of 2025. The project is located within the wind farm Kölvallen in the municipality of Ljusdal and will connect to the same station. Arise divests the project rights in Pajkölen and will not be responsible for construction management or asset management after commissioning.

In addition, the transaction also includes a potential earn-out payment of approximately SEK 15 million, which will be realized at certain prices for ancillary services during the first three years after commissioning.

Arise was advised by DNB Markets and Setterwalls Advokatbyrå AB in the transaction.

Per-Erik Eriksson, CEO, Arise:

”We are very happy to be able to divest our first battery project, thereby proving the inherent values in our project portfolio. We have an increasing number of battery projects in several of our markets which have the advantage that they are quick to realize. One should remember that Pajkölen until recently was an early-stage project where we successfully accelerated it to this transaction. The project is also a good example where we use our local knowledge of individual projects, such as Kölvallen in this case, to generate new and profitable transactions.”

John Diklev, CEO, Flower:

”Pajkölen fits well with Flower’s strategy and confirms our position as the leader within flexibility, with solid experience from all phases, from planning to optimization. The project widens our offering, enabling clean and reliable electricity to more customers. We are happy and proud to continue driving the energy transition and balancing the renewable electricity system.”

Halmstad, 19 September 2024

ARISE AB (publ)

For further information, please contact:

Per-Erik Eriksson, CEO Arise AB, +46 702 409 902

Markus Larsson, CFO Arise AB, + 46 735 321 776

This information is such information as Arise AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 07:45 CEST on 19 September, 2024.

­­­­A strong quarter and healthy growth in the project portfolio

 

CEO Comment:

The company delivered a strong quarter with EBITDA of MSEK 53 and net profit of MSEK 30, especially considering that the second quarter is normally a period of lower production revenue. Favourable price hedging and the Lebo project, which increases our own production by more than 25%, contribute to the result. We also received the earnout for the Ranasjö- and Salsjöhöjden project. We are continuing to present very healthy growth in our project portfolio, which increased by 745 MW. Furthermore, our focus on accelerating projects has resulted in projects in late developmental phase increasing by 175 MW. In total, this means that we are in line with delivering on our financial targets.

Second quarter (1 April–30 June 2024)

• Net sales for the quarter amounted to MSEK 101 (110).
• Operating profit before depreciation and amortisation (EBITDA) was MSEK 53 (69).
• Operating profit (EBIT) was MSEK 33 (53).
• Profit after tax totalled MSEK 30 (36) and earnings per share amounted to SEK 0.76 (0.85).
• Operating cash flow was MSEK 24 (60) and cash flow after investments amounted to MSEK -34 (-167).
• Production generated 69 GWh (54) of green electricity with an average income of SEK 549 per MWh (947).
• The project portfolio increased by 745 MW during the quarter.

First half of the year (1 January–30 June 2024)

• Net sales for the period amounted to MSEK 213 (217).
• Operating profit before depreciation and amortisation (EBITDA) totalled MSEK 123 (145).
• Operating profit (EBIT) was MSEK 87 (114).
• Profit after tax totalled MSEK 77 (88) and earnings per share amounted to SEK 1.90 (2.01).
• Operating cash flow was MSEK 142 (90) and cash flow after investments amounted to MSEK 20 (-208).
• Production generated 159 GWh (141) of green electricity with an average income of SEK 661 per MWh (940).
• The project portfolio increased by almost 1,000 MW during the first half of the year.

Significant events during the first half of the year

• In May, Arise announced that the Board had resolved to utilise the authorisation granted by the 2024 Annual General Meeting to buy back the company’s own shares corresponding to MSEK 50 ahead of the 2025 Annual General Meeting. Under this share buyback programme and the previous buyback programme, 2,201,045 own shares were repurchased for MSEK 97 during the first half of the year.
• In May, Eva Vitell announced that she was leaving the Board of Arise at her own request, since she had accepted a position with Svenska Kraftnät.
• In May, the Lebo wind farm was completed. The wind farm is fully owned by Arise, has a capacity of 33 MW and is located in price area 3. Following the completion, Lebo is part of the Production segment.
• Arise announced in June that the earnout payment for the Ranasjö- and Salsjöhöjden project had been established at MEUR 6.6, which was received in the same month. Of the earnout amount, MEUR 4.2 had already been recognised whereby the earnings effect for the quarter amounted to MEUR 2.4.
• In June, Arise’s subsidiary Pohjan Voima entered into a cooperation agreement with Finsilva, one of Finland’s largest landowners. The cooperation opens up opportunities for the development of new wind and solar projects, which may also include battery storage. Five project areas have been identified with estimated potential of approximately 500 MW.

 

Halmstad, 17 July 2024

Arise AB (publ)

For further information, please contact:

Per-Erik Eriksson, CEO Arise AB, +46 702 409 902

Markus Larsson, CFO Arise AB, + 46 735 321 776

This information is such information as Arise AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 08:00 CEST on 17 July, 2024.

Arise’s interim report 1 January – 30 June 2024 will be released on Wednesday 17 July, 2024 08.00 CEST.

At 11.00 on the same day a webcast and teleconference will be held, hosted by Per-Erik Eriksson, CEO and Markus Larsson, CFO, who will present the report to the stock market and media. After the presentation those attending will be invited to ask questions.

If you wish to participate via webcast please use the link below. Via the webcast you are able to ask written questions.

Arise Q2 Report 2024 (financialhearings.com)

If you wish to participate via teleconference please register on the link below. After registration you will be provided phone numbers and a conference ID to access the conference. You can ask questions verbally via the teleconference.

Call Access (financialhearings.com)

Halmstad 5 July, 2024

ARISE AB (publ)                                                                                                

For further information, please contact:

Per-Erik Eriksson, CEO Arise AB, +46 702 409 902

Markus Larsson, CFO Arise AB, +46 735 321 776

This information was submitted for publication, through the agency of the contact persons set out above, at 14.00 CEST on 5 July, 2024.

Arise AB (publ) (”Arise”) has today, via its Finnish subsidiary Pohjan Voima, entered into a co-operation agreement with Finsilva, one of Finland’s largest landowners. The co-operation opens up opportunities for the development of new wind and solar projects, which may also include battery storage.

Three of Pohjan Voima’s current wind farm projects are located on land partially owned by Finsilva in Karstula, Keuruu and Parkano. In deepening their co-operation, Pohjan Voima and Finsilva have identified five new project areas, which have the conditions for the development of approximately 500 MW of wind and solar power. The projects will be included in Arise’s portfolio as early-stage projects.

Per-Erik Eriksson, CEO, Arise AB says:

”We are delighted to announce this co-operation agreement between Pohjan Voima and Finsilva. This partnership marks another milestone in our growth strategy, adding 500 MW of new greenfield early-stage projects to our portfolio, proving that we are on track to deliver on our 2025 portfolio targets.

We are confident that Pohjan Voima will continue to utilise their expertise and develop these projects to ready to build stage, boosting our platform in Finland and contributing further to the energy transition”

Halmstad, 12 June 2024

ARISE AB (publ)

For further information, please contact:

Per-Erik Eriksson, CEO Arise AB, +46 702 409 902

Markus Larsson, CFO Arise AB, +46 735 321 776